Jeff Bezos is the latest major US technology company to impose sanctions on Russia and Belarus. Without necessarily being a major player in the country, Amazon has decided to suspend deliveries and block registrations for its cloud service, Amazon Web Services.
No more delivery or cloud in Russia
Over the past few days, several US technology companies have withdrawn their investment. Most Silicon Valley companies have cut ties with Russia. The companies Oracle, Intel, Apple, Google, Airbnb, Microsoft and AMD decided to suspend their activities on Russian territory. Actions taken in line with US government sanctions. Now it’s Amazon’s turn to comply with government directives. On Tuesday, March 8, the e-commerce giant announced that none of its products would be delivered to Vladimir Putin’s country.
US: The Chip Act was adopted, but who would benefit from it?
A decision made in response to the invasion of Ukraine that forced the group to do so “Take additional measures in the area”. In its press release, Jeff Bezos’ company made it clear that it did “Suspend the shipment of retail products to customers residing in Russia and Belarus”. Seattle has decided to go ahead by suspending the accounts of the Amazon Prime streaming service for all Russian subscribers. Amazon adds it “We no longer take orders for New World, the only game we sell directly in Russia”.
Amazon has never sought to develop the Russian market
It is important to specify that Amazon’s activity is less important in Russia than in the European Union. It has no logistic site in Putin’s country, as everywhere in Europe, no website, but the company still delivers to Russian customers who placed orders from other websites. In Russia, there are other major retail players. Local competitors such as Wildberries or Ozon. In fact, high import taxes make Amazon products uncompetitive in Russia.
The same goes for Amazon Web Services, the company’s cloud service. The American company determines that “We do not have a data center, infrastructure or office in Russia. Our policy has long been not to work with the Russian government.. Most AWS customers in the region are actually local affiliates of international groups. This decision to stop all activities of the group also comes after a request from Ukrainian Deputy Prime Minister Mikhailo Fedorov, who asked Amazon to suspend access to AWS services in Russia, in order to “Support the global movement of governments and large corporations against the invasion of Ukraine”.